OPED by David F. Briggs - Reprinted from the Arizona Daily Independent
On March 14, 2014, Tony Davis of the Arizona Daily Star published an article titled, “Mine opponents see 3 cautionary tales.” In this article, he cites three examples where Company A purchased Company B but failed to meet commitments that were made by Company B prior to its purchase. The sole purpose of this article appears to have been to cast doubt on commitments made by Rosemont Mine, whose parent company, Augusta Resource Corporation has been the object of a recent hostile take-over attempt by Hudbay Minerals, Inc.
Mr. Davis presents no evidence to substantiate statements made in either of these articles and asks speculative questions that are designed to undermine the public's confidence in Rosemont Copper's ability to meet its commitments. Mr. Davis, where are the facts to back up opponents' claims these commitments will not be honored?
Both articles appear to represent attempts to use fear to accomplish goals Rosemont Copper’s opponents have not been able to achieve through the merits of their arguments. Is this responsible journalism?
Instead of speculating on something that may never happen, Mr. Davis could have focused our attention on the many companies, who have honored their commitments to the citizens of Arizona. In July 1988, the Cyprus Minerals Company purchased the assets of the Inspiration Consolidated Copper Company, who operated a large copper mine in Globe/Miami area. Prior to its purchase, Inspiration Consolidated Company had been cited for multiple federal and state environmental violations, had blowing tailings sands blocking the highways during windy days and groundwater contamination from decades of operation. Cyprus Minerals cleaned up the site, resolved Justice Department and EPA issues, built a water treatment plant then reclaimed and stabilized tailings that had accumulated at the site since the early 1900s . They not only expanded the capacity of the Miami smelter but also reduced its overall emissions. Over the years, Cyprus Minerals’ successors, Phelps Dodge and Freeport-McMoRan, have continued to honor these and other commitments at Miami.
Broken Hill Proprietary Company Ltd., an Australian company, acquired the San Manuel operation through its purchase of the Magma Copper Company in January 1996. In June 1999, BHP Copper placed all mining, milling, smelting and refining operations on care and maintenance status due to declining copper prices, which had fallen from a high of $1.395 in July 1995 to a 60-year low of $0.645 in June 1999. After maintaining the mine and plant facilities on standby for several years, a decision was made to permanently close the San Manuel operation. In keeping their commitment to the citizens of Arizona, BHP Copper successfully completed reclamation at one of the world’s largest owner-funded mine and plant site closure projects in 2007.
These are two notable examples of numerous current and former mine sites throughout Arizona and New Mexico, where successor or responsible companies have honored their commitments. There is no reason to believe that Augusta Resource or any potential successor will not honor all of the commitments that have been made to our community.
Instead of serving as the spokesman for special interest groups, Mr. Davis needs to examine his journalistic ethics and determine whether he is honoring the commitment he has made as a journalist to provide fair and unbiased news to the citizens of southeastern Arizona.
Disclaimer: David F. Briggs is a resident of Pima County and a geologist, who has intermittently worked as a consultant on the Rosemont Copper project since 2006. The opinions expressed in this article are the author’s and do not necessarily reflect those of the Rosemont Copper Company.
Copyright (2014) by David F. Briggs. Reprint is permitted only if the credit of authorship is provided and linked back to the source.